Saudi subcontractors dominate 75% of projects
The article highlights the role of subcontractors in the Saudi contracting sector, where they participate in more than 60 to 75% of construction work. This reflects the sector's maturity and the increasing need for specialized skills. Subcontractors are being increasingly relied upon for large projects to improve quality, enhance efficiency, and reduce costs. However, the sector faces key challenges related to delayed financial entitlements, weak accreditation, and unclear contract terms, which threaten the sustainability of small and medium-sized companies and lead to disputes over payments and scope of work. Reports also emphasize the importance of improving qualification systems, regulating contractual agreements, enhancing transparency in payment processes, and developing amicable dispute resolution mechanisms to maintain construction continuity and facilitate the growth of small businesses.
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